Red Velvet Cupcakes with Cream Cheese COOL WHIP Frosting

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1 package vanilla cake mix, plus ingredients listed on package (replace water with milk and add an extra egg)
1 (4.6oz) package cook and serve chocolate pudding mix
red food coloring
(you can also just use red velvet cake mix instead of the above 3 ingredients)
1 (8oz) package cream cheese (at room temperature)
1 (16oz) container COOL WHIP whipped topping
1/2 cup powdered sugar
1/2 teaspoon vanilla
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